REGISTERED NUMBER: 00832101 (England and Wales)

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

FOR

WALKER HUMPHREY LIMITED

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

5

Income Statement

8

Other Comprehensive Income

9

Balance Sheet

10

Statement of Changes in Equity

11

Cash Flow Statement

12

Notes to the Cash Flow Statement

13

Notes to the Financial Statements

14

DIRECTORS:

M W Humphrey

S A Humphrey

S Rennison

D Watson

REGISTERED OFFICE:

Unit 15 Seafox Court

Sherburn in Elmet

Leeds

West Yorkshire

LS25 6PL

REGISTERED NUMBER:

00832101 (England and Wales)

AUDITORS:

Beaumonts (Statutory Auditors)

8 Navigation Court

Calder Park

Wakefield

WF2 7BJ

Review of the Business

Walker Humphrey Limited is a wholesale distributor of bakery and foodservice ingredients, products and packaging, supplying independent craft bakers, patisseries, chocolatiers, foodservice customers and larger food manufacturing operations across Yorkshire and neighbouring regions. The company operates its own temperature-controlled distribution fleet and remains committed to high standards of food safety, customer service and operational reliability.

Trading performance during 2025 showed a slight downturn compared to 2024 due to increased price competition in the market and challenging political influences. The latter half of 2025 saw a shift in sales strategy and investment in assets and people resulting in improved profitability in the last quarter and into 2026 strengthening the position in the market.

Working capital management improved during the year, with reductions in stockholding and trade debtors contributing to stronger operating cash generation. The company also continued to invest in its infrastructure and long-term capability.

Principal Risks and Uncertainties

Market and customer demand - The food distribution sector remains highly competitive and sensitive to changing customer demand. The company has mitigated this through strong customer and supplier relationships, competitive service levels, continued product development and a clear sales strategy.

Pricing, margin and cost pressures - Maintaining appropriate margins while remaining competitive continues to be a key focus. During 2026, the company has introduced a more structured pricing and sales strategy, supported by improved management information and closer monitoring of commercial performance.

Food safety and regulatory compliance - Food safety remains fundamental to the company's operations. The company maintains robust food safety procedures based upon HACCP principles and operates to the BRCGS Global Standard for Storage and Distribution, achieving AA+ accreditation. Maintaining these standards through training, internal controls and ongoing review remains a key operational priority.

People and operational capability - Recruiting, developing and retaining appropriate skills remains important to the company's ability to provide high levels of customer service and support future growth.

Information technology and cyber security - The company's increasing use of digital systems makes system resilience, data security and cyber security increasingly important. During 2026, the company achieved Cyber Essentials accreditation, demonstrating its commitment to maintaining appropriate controls and protecting its IT systems and data. Continued investment in technology, cyber security and system resilience remain an important part of the company's risk management strategy.

Matters of Strategic Importance

Following the financial performance experienced in 2025, the directors have undertaken a programme of commercial and operational development during 2026 aimed at improving profitability, strengthening management information and creating a platform for sustainable growth.

A clearer pricing and sales strategy has been introduced, together with additional business development resources and the development of own-label product offerings. The company has also launched a new online ordering platform, improved customer convenience and created an additional channel through which future growth can be supported.

Investment in management and digital systems has continued through the implementation of a new CRM system, the achievement of Cyber Essentials accreditation and the introduction of a Financial Controller role. Greater emphasis has been placed on forecasting and forward financial planning, with the planned introduction of Xero representing the next stage in the development of the company's financial systems.

The company continues to review its operational efficiency, including the structure of its distribution network and transport route, with greater focus on defined geographical delivery areas and efficient utilisation of the fleet.

Outlook

Trading during 2026 is expected to remain broadly comparable with 2025 in terms of turnover and gross margin. However, actions taken to reduce the company's overhead base, together with tighter financial and operational management, are expected to result in an improved financial performance compared with 2025.

The directors believe that the commercial, digital and management initiatives introduced during 2026 have strengthened the underlying business. The focus remains on improving profitability from the existing business while creating opportunities for sustainable growth through improved sales management, own-label products, digital ordering and targeted business development.

Strategic planning continues to be developed beyond 2026, with particular emphasis on profitable growth, margin management, operational efficiency and effective utilisation of the company's resources.

Directors' Statement

The directors consider that, while financial performance during 2025 was below expectations, the company remains well established within its market and has taken positive and considered action in response.

The improvements implemented during 2026 demonstrate the company's continued commitment to commercial development, financial control, operational efficiency, food safety and customer service. The directors believe these measures provide a stronger platform from which to deliver improved profitability and sustainable long-term growth.

ON BEHALF OF THE BOARD:

M W Humphrey - Director

9 October 2026

The directors present their report with the financial statements of the company for the year ended 31 December 2025.

DIVIDENDS

Interim dividends per share were paid as follows:

6

- 6 January 2025

2.166

- 31 March 2025

6

- 7 April 2025

6

- 7 July 2025

6.666

- 29 September 2025

6

- 6 October 2025

32.83

The directors recommend that no final dividend be paid.

The total distribution of dividends for the year ended 31 December 2025 will be £ 197,000 .

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2025 to the date of this report.

M W Humphrey

S A Humphrey

S Rennison

D Watson

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

ON BEHALF OF THE BOARD:

M W Humphrey - Director

9 October 2026

Opinion

We have audited the financial statements of Walker Humphrey Limited (the 'company') for the year ended 31 December 2025 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 December 2025 and of its profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Based on our understanding of the company and its activities, we identified that the principal risks of non-compliance with laws and regulations related to breaches in health and safety law, employment law, applicable Generally Accepted Accounting Practices, the Companies Act 2006, taxation legislation, money laundering and the UK Bribery Act, and we considered the extent to which non-compliance might have a material effect on the financial statements. We then designed and performed audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements, including the risk of override of controls, and determined that the principal risks were related to the posting of inappropriate journal entries and management bias in accounting estimates. Our audit procedures included:

Discussions with the directors;

Consideration of unusual costs;

Challenging assumptions and judgements made by management in determining significant accounting estimates;

Identifying and testing journal entries.

We communicated identified laws and regulations throughout our Team and remained alert to any indications of

non-compliance throughout the audit.

Owing to the inherent limitations of an audit there is unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. The further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Mr Philip Samuel (Senior Statutory Auditor)

for and on behalf of Beaumonts (Statutory Auditors)

8 Navigation Court

Calder Park

Wakefield

WF2 7BJ

9 October 2026

TURNOVER

19,706,348

21,196,130

Cost of sales

16,515,017

17,594,469

GROSS PROFIT

3,191,331

3,601,661

Administrative expenses

3,096,342

3,418,595

94,989

183,066

Other operating income

1,354

19,733

OPERATING PROFIT

4

96,343

202,799

Interest payable and similar expenses

5

64,093

73,118

PROFIT BEFORE TAXATION

32,250

129,681

Tax on profit

6

24,819

48,612

PROFIT FOR THE FINANCIAL YEAR

7,431

81,069

PROFIT FOR THE YEAR

7,431

81,069

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

7,431

81,069

FIXED ASSETS

Intangible assets

8

262,768

300,620

Tangible assets

9

1,787,494

1,151,099

2,050,262

1,451,719

CURRENT ASSETS

Stocks

10

1,978,326

2,466,703

Debtors

11

2,153,079

2,412,783

Cash at bank

14,484

323,679

4,145,889

5,203,165

CREDITORS

Amounts falling due within one year

12

3,461,313

4,231,741

NET CURRENT ASSETS

684,576

971,424

TOTAL ASSETS LESS CURRENT LIABILITIES

2,734,838

2,423,143

CREDITORS

Amounts falling due after more than one year

13

(1,112,170

)

(606,696

)

PROVISIONS FOR LIABILITIES

17

(79,065

)

(83,275

)

NET ASSETS

1,543,603

1,733,172

CAPITAL AND RESERVES

Called up share capital

18

6,000

6,000

Capital redemption reserve

19

4,000

4,000

Retained earnings

19

1,533,603

1,723,172

SHAREHOLDERS' FUNDS

1,543,603

1,733,172

The financial statements were approved by the Board of Directors and authorised for issue on 9 October 2026 and were signed on its behalf by:

M W Humphrey - Director

S A Humphrey - Director

Called up

Capital

Fair

share

Retained

redemption

value

Total

capital

earnings

reserve

reserve

equity

£

£

£

£

£

Balance at 1 January 2024

6,000

1,622,111

4,000

193,992

1,826,103

Changes in equity

Dividends

-

(174,000

)

-

-

(174,000

)

Total comprehensive income

-

275,061

-

(193,992

)

81,069

Balance at 31 December 2024

6,000

1,723,172

4,000

-

1,733,172

Changes in equity

Dividends

-

(197,000

)

-

-

(197,000

)

Total comprehensive income

-

7,431

-

-

7,431

Balance at 31 December 2025

6,000

1,533,603

4,000

-

1,543,603

Cash flows from operating activities

Cash generated from operations

1

939,384

(479,248

)

Interest paid

(60,236

)

(69,726

)

Interest element of hire purchase payments paid

(3,857

)

(3,392

)

Tax paid

(198,314

)

(97,564

)

Net cash from operating activities

676,977

(649,930

)

Cash flows from investing activities

Purchase of tangible fixed assets

(774,469

)

(101,436

)

Sale of tangible fixed assets

-

499

Sale of investment property

-

222,840

Net cash from investing activities

(774,469

)

121,903

Cash flows from financing activities

New loans in year

716,050

-

Capital repayments in year

(208,669

)

(15,619

)

Amount introduced by directors

-

276,872

Amount withdrawn by directors

(12,213

)

-

Equity dividends paid

(197,000

)

(174,000

)

Net cash from financing activities

298,168

87,253

Increase/(decrease) in cash and cash equivalents

200,676

(440,774

)

Cash and cash equivalents at beginning of year

2

(1,277,894

)

(837,120

)

Cash and cash equivalents at end of year

2

(1,077,218

)

(1,277,894

)

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

31.12.25

31.12.24

£

£

Profit before taxation

32,250

129,681

Depreciation charges

175,926

169,204

Loss on disposal of fixed assets

-

10,014

Finance costs

64,093

73,118

272,269

382,017

Decrease/(increase) in stocks

488,377

(415,290

)

Decrease in trade and other debtors

271,917

269,131

Decrease in trade and other creditors

(93,179

)

(715,106

)

Cash generated from operations

939,384

(479,248

)

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 December 2025

31.12.25

1.1.25

£

£

Cash and cash equivalents

14,484

323,679

Bank overdrafts

(1,091,702

)

(1,601,573

)

(1,077,218

)

(1,277,894

)

Year ended 31 December 2024

31.12.24

1.1.24

£

£

Cash and cash equivalents

323,679

404,904

Bank overdrafts

(1,601,573

)

(1,242,024

)

(1,277,894

)

(837,120

)

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.1.25

Cash flow

At 31.12.25

£

£

£

Net cash

Cash at bank and in hand

323,679

(309,195

)

14,484

Bank overdrafts

(1,601,573

)

509,871

(1,091,702

)

(1,277,894

)

200,676

(1,077,218

)

Debt

Finance leases

(20,908

)

(48,581

)

(69,489

)

Debts falling due within 1 year

(162,034

)

24,043

(137,991

)

Debts falling due after 1 year

(570,720

)

(482,843

)

(1,053,563

)

(753,662

)

(507,381

)

(1,261,043

)

Total

(2,031,556

)

(306,705

)

(2,338,261

)

1.	STATUTORY INFORMATION

Walker Humphrey Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention as modified by the revaluation of investment property.

These financial statements are prepared in sterling and are rounded to the nearest £.

Significant judgements and estimates

In the application of the company's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Turnover

Turnover is measured at the amounts received or receivable, excluding discounts, rebates and value added tax in respect of bakery sundries.

Goodwill

Goodwill, being the amounts in connection with the acquisition of businesses, is being amortised evenly over its estimated useful life of ten years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Freehold property

-

2% on cost

Improvements to property

-

15% on reducing balance

Plant and machinery

-

25% on reducing balance

Fixtures and fittings

-

25% on reducing balance

Motor vehicles

-

25% on reducing balance

Computer equipment

-

25% on reducing balance

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

Rentals paid under operating leases are charged to the profit and loss account as incurred.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

3.	EMPLOYEES AND DIRECTORS

31.12.25

31.12.24

£

£

Wages and salaries

1,265,457

1,430,915

Social security costs

162,937

146,038

Other pension costs

102,266

149,528

1,530,660

1,726,481

The average number of employees during the year was as follows:

31.12.25

31.12.24

Sales

11

12

Admin

9

11

Transport

10

10

Warehouse

9

10

39

43

31.12.25

31.12.24

£

£

Directors' remuneration

169,480

177,092

Directors' pension contributions to money purchase schemes

54,735

111,385

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes

4

4

4.	OPERATING PROFIT

The operating profit is stated after charging/(crediting):

31.12.25

31.12.24

£

£

Depreciation - owned assets

118,733

119,587

Depreciation - assets on hire purchase contracts

19,341

11,767

Loss on disposal of fixed assets

-

10,014

Goodwill amortisation

37,852

37,851

Foreign exchange differences

(2,274

)

(16,428

)

Audit fees

13,950

13,950

5.

INTEREST PAYABLE AND SIMILAR EXPENSES

31.12.25

31.12.24

£

£

Bank loan interest

59,465

66,233

Other interest

771

3,493

Hire purchase

3,857

3,392

64,093

73,118

6.

TAXATION

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

31.12.25

31.12.24

£

£

Current tax:

UK corporation tax

29,029

75,380

Deferred tax

(4,210

)

(26,768

)

Tax on profit

24,819

48,612

7.

DIVIDENDS

31.12.25

31.12.24

£

£

Ordinary shares of £1 each

Interim

197,000

174,000

8.	INTANGIBLE FIXED ASSETS

Goodwill

£

COST

At 1 January 2025

and 31 December 2025

378,515

AMORTISATION

At 1 January 2025

77,895

Amortisation for year

37,852

At 31 December 2025

115,747

NET BOOK VALUE

At 31 December 2025

262,768

At 31 December 2024

300,620